PSL posts Q3 PAT at Rs. 20.37 crore

With a strong order book, PSL foresees demand from the Oil, Gas, and Water Sectors

• Sales for Q3FY09 at Rs. 720.86 crore

• PAT for Q3FY09 stood at Rs. 20.37 crore

• Diluted EPS for Q3FY09 stood at Rs. 4.24

PSL Limited, a leading player in manufacturing and coating of pipes for transporting hydrocarbon products, water products, and steel structural applications in India, today reported net sales of Rs. 720.86 crore for the quarter ended December 31, 2009 compared to Rs. Rs. 998.77 crore in corresponding period of last fiscal year.

The operating earnings for Q3 FY2009/10 stood at Rs. 79.9 crore PBDIT as against Rs. 89.9 crore PBDIT for Q3 FY 2008/09. It would be important to note that the operating margin has increased to 11.1% during the quarter as compared to 9.0% in corresponding period of last fiscal year.

Net Profit for the first quarter stood at Rs. 20.37 crore as compared to Rs. 24.68 crore posted in the same period of last fiscal year. Diluted Earnings per share (EPS) stood at Rs. 4.24.

The standalone order book for the company stands at Rs. 1,800 crore.

Commenting on the results, Mr. Ashok Punj, MD, PSL Limited “In our last quarter we had foreseen the revival in the economy. Very recently we bagged orders worth Rs. 425 cr from major Indian companies reiterating our belief that the economy was well on its way to recovery. The expansion of our manufacturing capacity in Chennai by the addition of an additional 75,000 tons pipe mill facility will ensure that we are in a position to meet our customers’ demands in a timely fashion. Oil & gas and the water treatment sectors are the areas we will be seeing a demand from in the immediate future.”